Take back control pt 4: Operational efficiencies
A good logistics operation can make a business more efficient, but the need for efficiency doesn’t end there.The best logistics operations are also efficient themselves, in all their easy to understand back-end processes and lean procedures.
In this final blog in our four-part series, we explain how efficiency behind the scenes breeds efficiency on the frontline, and look at how iSB Group can help you to take back control for quicker, more streamlined procurement of safety-critical workwear, equipment and PPE.
What are operational efficiencies
In many ways, logistics is all about efficiency. As a sector, we’re all about keeping things moving, getting what’s required from A to B in the most direct, straightforward and timely way possible.
But logistics operations can appear efficient on the outside, while behind the scenes things are much less straightforward, with internal politics and tradition holding operators back from performing at their best.
We know that making a business more efficient through well-managed logistics results in lower costs, better customer experience and improved employee and customer satisfaction.
Using the same logic, couldn’t more efficiency behind the scenes result in the same for your logistics operation?
Operational efficiencies in procurement
In an earlier blog in this series, we touched on how inefficient procurement processes can lead to an increase in rogue spend.
Overly-complex, unnecessary time-consuming sourcing and approvals cause frustrations for busy teams and individuals who just want the products they need, when they need them.
Over time, it is hardly surprising that these frustrations can lead to people taking matters into their own hands, with employees making purchases outside of agreed supplier contracts, circumventing established procurement processes in order to get what they need quicker. More suppliers mean more admin too, less control, and losing valuable buying power with each site ordering individually.
As we’ve mentioned before, most rogue spend tends to be on relatively low-value yet high-frequency purchases. In other words, the type of purchases that employees believe they should be able to make themselves. This might be something they wear - like safety footwear, PPE, gloves or thermal wear - or something they use often, like a utility knife. Research shows that self-service is often perceived to be quicker and less frustrating than following official requisition and approvals processes.
How iSB can help
At iSB, we have developed a powerful online order management tool, Control-iT, which offers businesses the ability to balance keeping control of processes with allowing employees to self-serve their needs when it comes to workwear, PPE and safety-critical equipment. What’s more, we have proven that businesses that use Control-iT have more efficient processes as a result, allowing them to rein in rogue spend and concentrate their efforts on driving efficiencies elsewhere in their operations.
Using a bespoke login tailored to the requirements and seniority of their role, employees can access what is effectively an online catalogue of pre-approved products 24 hours a day, 365 days a year from any location or device and place an order for whatever they need. Thanks to full customisation of the catalogue for individual employees, it is crystal clear what they are permitted to order, the quantities they can purchase and how often they can order. Approval requests are automatically generated and can be quickly and easily signed off by finance teams, knowing that the spend has effectively been pre-approved just by virtue of that employee using the system that has been set up for them.
Employees can track the status of orders in transit, so they know exactly when they’ll receive the products they’ve requested.
What’s more, depots can order in bulk and request delivery to multiple sites quickly and easily through the system, eliminating the need for duplicate requests and minimising the risk of errors being made.
To find out more about how Control-iT could drive efficiencies in your business, give us a call on 0121 749 4433, or you can email us.